Strategies
3491 posts
Sure, risk management and expected payoff are similar. But that's where a reasonable comparison ends.
A maker of equipment for the solar, LED and emerging technologies industries, the company is making money hand over fist.
We diversified into three new sectors: consumer staples, consumer discretionary, and telecommunications services.
There is a backup list of screened stocks ready to be subbed into the Sustained Momentum model should any of the current investments start to falter.
One way to reduce correlation with the S&P: find stocks with a history of lower volatility than the index.
With so many negative headlines, it is often possible to lose sight of the long-term positives for equity investors.